Description of the business for sale
The Company is a seasoned provider of lease services and equipment to clients in the oil and gas industry that specialize in pipelines and pump stations along the Texas Gulf Coast. Lease services include welding, screw pipe make-up and equipment work. Equipment work includes dozers, backhoes and excavators. Customer base consists mainly of oil and gas extraction companies operating along the Texas Gulf Coast. Sales are driven by general pipeline maintenance (40% of sales), pipeline installation (25%), tank farm hookup (25%) and installation of drilling pads and limestone roads (10%). Company operates out of an in-home office and a ten acre piece of land used for equipment storage.
GROWTH: Economically, this company represents a sound investment opportunity as a stand alone purchase, however, buyers that can bring substantial expertise or existing operations with sales force and marketing channels in place will be able to add substantial value to this attractive Company. Excellent opportunity for a hands-on operator or someone already in the oil field services wishing to expand footprint.
COMPETITION: Demand is driven by oil and gas prices. The profitability of individual companies depends on technical expertise and efficiency of operations. Large companies can offer a broad range of services. Small firms can compete effectively by specializing in a particular type of service or geographic area. The industry is relatively labor-intensive, with average annual revenue per employee about $115,000.
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Support / Training provided by seller
Owner will to remain through a reasonable transition period.
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Description of the facilities
Company is located South of Houston and Northwest of Galveston. The Company operates out of an in-home office and a ten acre piece of land used for equipment storage. The ten acre piece of land has a fair market value of $50,000.
ADDITIONAL FINANCIAL INFORMATION:
REASONS FOR SELLING: Retirement.
EMPLOYEES: Full-time / Part-time: 13 full-time 5 part-time.
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